Meta (META) delivered a mixed third quarter, topping revenue forecasts but missing earnings per share after a one-time tax-related charge. Shares fell more than 6% in after-hours trading.<\/p>\n\n\n\n
The company reported EPS of $1.05<\/strong> on $51.24 billion<\/strong> in revenue, versus Bloomberg consensus of $6.72<\/strong> EPS on $49.6 billion<\/strong> revenue. Meta\u2019s core Family of Apps<\/strong> unit generated $50.77 billion<\/strong>, outpacing the anticipated $48.6 billion<\/strong> and underscoring resilient ad demand and engagement.<\/p>\n\n\n\n The results arrive amid an aggressive, AI-first capital plan. In recent months Meta has: invested $14.3 billion in Scale AI<\/strong> and hired its CEO as chief AI officer; earmarked at least $1.5 billion<\/strong> for a new El Paso data center; secured a $27 billion<\/strong> financing pact with Blue Owl Capital to fund the Hyperion campus in Richland Parish, Louisiana; and spent millions recruiting AI talent from rivals including OpenAI and Apple. At the same time, Meta laid off ~600 workers<\/strong> in its AI division, continuing Silicon Valley\u2019s efficiency drive.<\/p>\n\n\n\n Unlike hyperscalers Amazon, Google, and Microsoft, Meta isn\u2019t pushing enterprise AI services. Its strategy channels AI into ads performance and product engagement<\/strong>, while seeding capabilities into hardware such as Ray-Ban Meta smart glasses<\/strong>, the Quest 3<\/strong> headset, and the newly announced Meta Ray-Ban Display<\/strong> glasses. Still, some analysts remain cautious. Olivier Blanchard of Futurum says Meta hasn\u2019t yet clarified the consumer value proposition of its XR and Meta AI experiences.<\/p>\n\n\n\n Despite today\u2019s slide, Meta shares are up 27% year to date<\/strong> and 26% over 12 months<\/strong>, trailing Google\u2019s 43% YTD and 60% one-year gains. With Q3 earnings dynamics shaped by a tax charge<\/strong> and capex rising to support AI infrastructure, investor focus now turns to monetization\u2014how quickly Meta can convert its outsized AI bets into sustained profit growth without further jolting margins.<\/p>\n\n\n\n